NeoStem Expands Treg International Patent Portfolio with Granting of Patent in Japan

NeoStem, Inc.

New York, February 4, 2014 – NeoStem, Inc. (NASDAQ:NBS) (“NeoStem” or the “Company”), a leader in the emerging cellular therapy industry, today announced the expansion of intellectual property protection surrounding the Company’s T-regulatory cell (“Treg”) program with the grant of Japanese Patent Number 5409827 titled “Methods for the Isolation and Expansion of Cord Blood Derived T Regulatory Cells.” This grant further expands the scope and reach of NeoStem’s Treg patent estate internationally.

Through its Treg program, NeoStem is developing therapies that restore immune balance by enhancing regulatory T cell number and function. NeoStem’s novel approach is being advanced by collaborations with leading research teams in the field of T cell therapy, including a collaboration with the University of California, San Francisco, and the laboratories of Drs. Jeffrey Bluestone and Qizhi Tang. NeoStem has a broad patent estate covering the Treg program, including over 30 issued patents and patent applications in U.S. and major international markets.

In November 2013, Japan enacted the Regenerative Medicine Law and passed revisions to the Pharmaceutical Affairs Law, providing opportunities to accelerate the development of regenerative medicines in Japan.

“We are excited to have received this patent issuance and about the recent changes in Japan which signal Japan’s commitment to regenerative medicine. We look forward to exploring opportunities in Japan within the new regulatory framework to develop our regenerative medicine products in Japan and to bringing these important products to the market to meet the health needs of the Japanese people,” said Dr. Robin L. Smith, Chairman and CEO of NeoStem.

In addition, these new Japanese regulations should be meaningful in allowing NeoStem to accelerate time to market in Japan for its cardiovascular disease program, for which NeoStem has already been granted related patent protection in Japan, should the Company pursue clinical development there.

About NeoStem, Inc.

NeoStem, Inc. is a leader in the emerging cellular therapy industry. The Company’s business model includes the development of novel proprietary cell therapy products as well as operating a contract development and manufacturing organization providing services to others in the regenerative medicine industry. The combination of a therapeutic development business and revenue-generating service provider business provides the Company with capabilities for cost effective in-house product development and immediate revenue and cash flow generation.

For more information, please visit www.neostem.com .

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect management’s current expectations, as of the date of this press release, and involve certain risks and uncertainties. Forward-looking statements include statements herein with respect to the successful execution of the Company’s business strategy, including with respect to the successful development of cellular therapies, including with respect to AMR-001 and regulatory T cells, the future of the regenerative medicine industry and the role of stem cells and cellular therapy in that industry, the Company’s success in continuing to obtain patent protection for its cellular therapy products in development, and the Company’s ability to successfully grow its contract development and manufacturing business. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of various factors. Factors that could cause future results to materially differ from the recent results or those projected in forward-looking statements include the “Risk Factors” described in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 11, 2013 and in the Company’s periodic filings with the SEC. The Company’s further development is highly dependent on future medical and research developments and market acceptance, which is outside its control.